Nonprofits are girding for tough times and the governor cannot sugarcoat it
Whatever the mood at the previous six Not-For-Profit Leadership Summits, this year”™s had to wrestle with the undeniable downer of troubled times.
An estimated 800 professionals and Gov. David Paterson gathered at the Doubletree Hotel in Tarrytown recently for the United Way of Westchester and Putnam”™s seventh annual leadership summit in conjunction with Westchester Community Foundation and ArtsWestchester.
Economic storm clouds accompanied them.
“Those of you who are often on the cutting edge of survival know that donations are starting to diminish and even your state sponsorship is lesser than it was,” said Gov. David Paterson, a general keynote speaker, in addressing the audience. “That is what is happening to us at the state level.
“Hundreds of companies are out of business and going out of business. Entire regions of this state are struggling for survival,” he said. “We have to take an aggressive stance, which we hope will shorten the time of despair.”
Paterson answered several submitted questions from nonprofit organizations.
The hot-button issue at the luncheon? The MTA payroll tax, as evidenced by a round of applause.
Diane Russo, associate executive director of Putnam Family and Community Services in Carmel asked about the economic crisis and those who are “unemployed, stressed and depressed. More people are seeking the help of mental health services,” she said. “With dwindling donations and funding cuts, stress is placed on community mental health organizations.”
Russo later said, “I don”™t think he answered the question. He discussed it on the state level and not for local nonprofits experiencing cuts. People are losing their jobs and health insurance and they come to us. There are Medicaid cuts. I understood the part where he addressed Timothy”™s Law and the stimulus, but I don”™t think we”™re getting anything.”
Said Steven Brown, president and CEO of Yonkers-based Greyston Foundation, of the MTA payroll tax, “Obviously we”™re going to be hit by it and even though it won”™t be life or death, it is something we”™ll have to plan for. He (Paterson) did make the clear point that there will be dialogue, but whatever you touch, something else will be affected. I think he clearly felt a little awkward, since he made it clear it wasn’t his original idea.”
In a post-event press conference, Paterson was asked whether businesses and nonprofits outside of New York City were justified in anger over taxation when they do not fully partake in the city transit system.
“I think that they certainly are right in the sense that they don”™t have the same relationship with the transit system as it exists in New York City and this is just one of those situations where a decision had to be made in order to balance the MTA budget,” Paterson said.
“I think what we will try to do for the counties is to pay closer attention to some of their needs and reduce the number of burdens the state places on them, which is why I will be really careful looking at any legislation that passes along further deficits to the counties and will veto it if necessary to really take the load off of Orange County, Rockland, Putnam, Dutchess ”¦”
“We all need to share the pain was his message,” said Naomi Adler, executive director of the United Way of Weschester and Putnam. “I don’t think he was differentiating between nonprofits and everyone else. It was extremely significant that Andrew Spano and Paterson came to back the importance of nonprofits as business organizations.”